Nihon Dempa Kogyo Co., Ltd. · TSE:6779
Nihon Dempa Kogyo — FY2016 Earnings Presentation
20 slides from Nihon Dempa Kogyo's earnings presentation, May 17, 2016
Slide 1: Results for the year ended March 2016
Results for the year ended March 2016 Nihon Dempa Kogyo Co., Ltd May 17 th 2016 【Note】 Statements made in this presentation with respect to our current plans, estimates, strategies and beliefs and other statements that are not historical facts are forward-looking statements about our future performa
Slide 2: Contents
Contents 1．Results for the year ended March 2016 2．Management policy & forecasts for the year ended March 2017 2
Slide 3: Results for the year ended Mar 2016
Results for the year ended Mar 2016 (Million yen） ① ② ③ ③－① ③－② Mar 2015 Mar 2016 Mar 2016 Year to year Comparison annual annual annual forecast comparison to forecast result result Net Sales 47,730 44,500 44,850 ▲ 2,880 350 Operating income 175 700 410 235 ▲ 290 Income before tax 359 600 102 ▲ 257
Slide 4: Temporal factors (year ended Mar 2016)
Temporal factors (year ended Mar 2016) (\Mil.） ① ② ①ー② ③ ④ ③ー④ Mar-15 Mar-16 Exclude Exclude Temporal Annual Temporal Annual result temporal temporal factors result factors factors factors Net sales 47,730 0 47,730 44,850 0 44,850 Operating income 175 311 ▲ 136 410 ▲ 372 782 Income before tax 359 65
Slide 5: Profit variation analysis (Mar 2015→Mar 2016)
Profit variation analysis（Mar 2015→Mar 2016) Other Cost reduction cost reduction of fixed cost ＋0.2bn¥ ＋2.0bn¥ Decrease in sales volume ▲1.5bn¥ Mar 2016 Mar2015 Operating Operating profit profit 0.8bn¥ ▲0.1bn¥ Decline in Exchange rate Income Income sales price fluctuation excluding excluding ▲0.3bn¥
Slide 6: Quarterly results
Quarterly results In 4Q ending Mar 2016, sales and income decreased due to slow down in smart phone market and valuation loss on investment securities(¥342 mil) . Net sales（Million yen） Income（Million yen） Operating income Income before tax 12,675 675 636 11,978 11,751 11,326 11,244 11,504 11,421 10
Slide 7: Quarterly results (temporal factors excluded)
Quarterly results（temporal factors excluded） Income excluding temporal factors Net sales（Million yen） (Million yen) Operating income Income before tax 12,675 11,978 11,751 11,326 11,244 11,504 11,421 10,681 333 252 219 276 247 278 118 104 55 54 ▲ 16 ▲ 83▲ 49▲ 57 ▲ 323 ▲ 374 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1
Slide 8: Sales trend at main applications
Sales trend at main applications Automotive ：Annual sales has increased due to robust demand at new applications such as ADAS（Advanced driver assistance system）. High ：In 1Q of the year ended Mar 2016, production was adjusted at Industrial mobile phone base station market in China, but recovered fro
Slide 9: Content
Content 1．Results for the year ended March 2016 2．Management policy & forecast for the year ended March 2017 9
Slide 10: Mid-term sales plan
Mid-term sales plan ■General mass produced productions（Mobile communication, AV/OA）, SAW（Especially for mobile communication） ⇒Change direction from shrinkage to growth ■High industrial, Automotive, Sensor ⇒Generate stable profits with competitive products with high quality and strong technology Mak
Slide 11: Mobile communication market environment
Mobile communication market environment Increasing TCXO demands Increasing demands to mounted in smart phones SAW devices LTE development and increase in Diversification in communication demand for highly accurate GPS system and emergence of new frequency range SAW market （Mil. units） TCXO demand （M
Slide 12: Mobile communication
Mobile communication ○Refocus on TCXO market ⇒Increase sales of ultra small sized products and low cost products Mobile Communication Ultra small sized product （￥Mil.） sales 1612 size 15,000 10,000 5,000 0 Mar 2015 Mar 2016 Mar 2017 Mar 2018 Mar 2019 results results forecast target target 12
Slide 13: SAW devices
SAW devices ＜Mobile communication＞ Start mass production ○Start business with leading on a full scale from module maker this term ○Increase sales to Taiwan/China market where supply is tight High end smart phones mount 30 units of SAW devices SAW sales （¥Mil.） We target to enter into SAW automobile
Slide 14: Capital investment
Capital investment 【Capital investment】Plan 5 billion yen in the year ended Mar 2017 mainly to increase TCXO and SAW capacity (¥Mil.) Approx. 70% are Capital investment Depreciation invested to increase 5,699 TCXO and SAW capacity 5,000 3,923 3,959 3,809 3,425 3,558 2,631 2,107 1,709 Mar-13 Mar-14 M
Slide 15: AV/OA, Optical
AV/OA, Optical ＜AV/OA＞ ＜Optical＞ No. of devices that are connected to IoT will ○Scale down products for low price increase and demand of crystal which has single-lens reflex camera communication function will increase accordingly. ○ Expand sales of cameras for movies Design activities for Develop an
Slide 16: High industrial
High industrial Due to the increase of traffic, the Develop and expand sales of high demand of mobile phone base value-added industrial products station and optical communication equipment, are expanding 〇The speed increased to 100Gbps, 400Gbps in the optical communication market, where higher frequ
Slide 17: Automotive market
Automotive market Increase in demands for crystal 〇Respond to increasing demand devices used at cameras and for ADAS radars mounted on automotive Strengthen development and for ADAS（Advanced Driver sales with highly reliable Assistance System) use. automotive products (TCXO, ICXO, SAW） Increasing de
Slide 18: Sensor
Sensor Develop and sell products that contribute to comfortable life with health, safe and security ＜Ultrasonic Equipment＞ ＜Sensor Market＞ 〇Develop and sell Portable ○Sale of QCM Sensor Simplified Ultrasonic Wave Sensors Make efforts to commoditize looking forward to demand increase products for foo
Slide 19: Forecast for the year ended March 2017
Forecast for the year ended March 2017 (\ Mil.) Mar-16 Mar-17 result forecast Net sales 44,850 45,000 Operating income 410 850 Income before tax 102 750 Net income 317 650 Income before tax ratio 0.2% 1.7% Exchange rate ¥120.16 ¥110.00 （against the U.S. dollar） ＜Reference＞ - Influence on net sales (
Slide 20: Thank you for your kind attention
We aim to raise corporate value by satisfying our customers through delivery of high-reliable and high quality products required by customers when in need at a reasonable price. We appreciate your continued support . Thank you for your kind attention. Enquiry on IR Corporate Planning Office, Nippon